Mayor Laurence Leyens will pay city taxes, but no tax increases on improvements he has made to a downtown building.

Leyens recused himself Monday from the 2-0 vote to approve his request for property tax abatement on about $100,000 in improvements made to his building at 1208 Washington St.

Property taxes are based on the value of land and structures. Higher values usually mean higher taxes, but under the incentive program for developers, Leyens will not pay additional taxes to the city on the improvements for the next seven years.

“I may be the mayor, but I’m also a private investor,” Leyens said. “Anybody who wants to go and fix up an old building can get this.”

Leyens bought the vacant building about a year ago and has converted the second floor into apartments and renovated the downstairs for retail business. The space on the first floor has not been leased, but Leyens said he is looking for a tenant.

Leyens said he does not know how much he will save through the abatement because the building has not been assessed since the improvements were made.

This year, the tax bill on the building totaled $1,307 including city, county and school taxes. The city’s share was $383. With the abatement, Leyens will not pay any less in taxes next year, but will not pay more city taxes over the next seven years based on the improvements.

The abatement does not affect school taxes, which will increase with the next evaluation.

“We have already checked with the Ethics Commission and the attorney general to make sure that we can do this,” said North Ward Alderman Gertrude Young who, acting as mayor pro-tem, called for a vote on Leyens’ request.

Tax abatement in the central business district is one of the incentives the city uses to encourage downtown developments. The law has been in place since 1983, but Leyens was only the second person to apply for an abatement.

The first was Christi Bounds, co-owner of The Cinnamon Tree, who has extensively remodeled the facade of her gift shop.

Leyens, who is also the owner or part-owner in three other downtown properties, said he will also request tax abatement on the improvements from the Warren County Board of Supervisors.

His other properties are his home at 1420 Cherry St., B’nai B’rith Literary Club and the former Valley Department Store. Leyens owned or had shares in all three before becoming mayor, but did not seek tax abatement on improvements made to the B.B. Club.